| |||||||
| |||||||
| |||||||
1 | AN ACT concerning public employee benefits.
| ||||||
2 | Be it enacted by the People of the State of Illinois,
| ||||||
3 | represented in the General Assembly:
| ||||||
4 | Section 5. The Illinois Pension Code is amended by changing | ||||||
5 | Sections 17-114, 17-132, and 17-149 as follows:
| ||||||
6 | (40 ILCS 5/17-114) (from Ch. 108 1/2, par. 17-114)
| ||||||
7 | Sec. 17-114. Computation of service. | ||||||
8 | (a) When computing days of validated service, contributors | ||||||
9 | shall receive one day of service credit for each day for which | ||||||
10 | they are paid salary representing a partial or a full day of | ||||||
11 | employment rendered to an Employer or the Board. | ||||||
12 | (b) When computing months of validated service, 17 or more | ||||||
13 | days of service rendered to an Employer or the Board in a | ||||||
14 | calendar month shall entitle a contributor to one month of | ||||||
15 | service credit for purposes of this Article. | ||||||
16 | (c) When computing years of validated service rendered, 170 | ||||||
17 | or more days of service in a fiscal year or 10 or more months of | ||||||
18 | service in a fiscal year shall constitute one year of service | ||||||
19 | credit. | ||||||
20 | (d) Notwithstanding subsections (b) and (c) of this | ||||||
21 | Section, validated service in any fiscal year shall be that | ||||||
22 | fraction of a year equal to the ratio of the number of days of | ||||||
23 | service to 170 days. |
| |||||||
| |||||||
1 | (e) For purposes of this Section, no contributor shall earn | ||||||
2 | (i) more than one year of service credit per fiscal year , (ii) | ||||||
3 | more than one day of service credit per calendar day, or (iii) | ||||||
4 | more than 10 days of service credit in a 2 calendar week period | ||||||
5 | as determined by the Fund .
| ||||||
6 | (Source: P.A. 97-30, eff. 7-1-11.)
| ||||||
7 | (40 ILCS 5/17-132) (from Ch. 108 1/2, par. 17-132)
| ||||||
8 | Sec. 17-132. Payments and certification of salary | ||||||
9 | deductions. | ||||||
10 | (a) An Employer shall cause the Fund to receive all | ||||||
11 | members' payroll records and pension contributions within 30 | ||||||
12 | calendar days after each predesignated payday. For purposes of | ||||||
13 | this Section, the predesignated payday shall be determined in | ||||||
14 | accordance with each Employer's payroll schedule for | ||||||
15 | contributions to the Fund. | ||||||
16 | (b) An Employer that fails to timely certify and submit | ||||||
17 | payroll records to the Fund is subject to a statutory penalty | ||||||
18 | in the amount of $100 per day for each day that a required | ||||||
19 | certification and submission is late. | ||||||
20 | Amounts not received by the 30th calendar day after the | ||||||
21 | predesignated payday shall be deemed delinquent and subject to | ||||||
22 | a penalty consisting of interest, which shall accrue on a | ||||||
23 | monthly basis at the Fund's then effective actuarial rate of | ||||||
24 | return, and liquidated damages in the amount of $100 per day, | ||||||
25 | not to exceed 20% of the principal contributions due, which |
| |||||||
| |||||||
1 | shall be mandatory except for good cause shown and in the | ||||||
2 | discretion of the Board. | ||||||
3 | An Employer in possession of member contributions deducted | ||||||
4 | from payroll checks is holding Fund assets, and thus becomes a | ||||||
5 | fiduciary over those assets. | ||||||
6 | (c) The payroll records shall report (1) all pensionable | ||||||
7 | salary earned in that pay period, exclusive of salaries for | ||||||
8 | overtime, special services, or any employment on an optional | ||||||
9 | basis, such as in summer school; (2) adjustments to pensionable | ||||||
10 | salary, exclusive of salaries for overtime, special services, | ||||||
11 | or any employment on an optional basis, such as in summer | ||||||
12 | school, made in a pay period for any prior pay periods; (3) | ||||||
13 | pension contributions attributable to pensionable salary | ||||||
14 | earned in the reported pay period or the adjusted pay period as | ||||||
15 | required by subsection (b) of Section 17-131 ; and (4) any | ||||||
16 | salary paid by an Employer if that salary is compensation for | ||||||
17 | validated service and is exclusive of salary for overtime, | ||||||
18 | special services, or any employment on an optional basis, such | ||||||
19 | as in summer school. Payroll records required by item (4) of | ||||||
20 | this paragraph shall identify the number of days of service | ||||||
21 | rendered by the member and whether each day of service | ||||||
22 | represents a partial or whole day of service . | ||||||
23 | (d) The appropriate officers of the Employer shall certify | ||||||
24 | and submit the payroll records no later than 30 calendar days | ||||||
25 | after each predesignated payday. The certification shall | ||||||
26 | constitute a confirmation of the accuracy of such deductions |
| |||||||
| |||||||
1 | according to the provisions of this Article. | ||||||
2 | Each Charter School shall designate an administrator as a | ||||||
3 | "Pension Officer". The Pension Officer shall be responsible for | ||||||
4 | certifying all payroll information , including and | ||||||
5 | contributions due and certified sick days payable pursuant to | ||||||
6 | Section 17-134, and assuring resolution of reported payroll and | ||||||
7 | contribution deficiencies. | ||||||
8 | (e) The Board has the authority to conduct payroll audits | ||||||
9 | of a charter school to determine the existence of any | ||||||
10 | delinquencies in contributions to the Fund, and such charter | ||||||
11 | school shall be required to provide such books and records and | ||||||
12 | contribution information as the Board or its authorized | ||||||
13 | representative may require. The Board is also authorized to | ||||||
14 | collect delinquent contributions from charter schools and | ||||||
15 | develop procedures for the collection of such delinquencies. | ||||||
16 | Collection procedures may include legal proceedings in the | ||||||
17 | courts of the State of Illinois. Expenses, including reasonable | ||||||
18 | attorneys' fees, incurred in the collection of delinquent | ||||||
19 | contributions may be assessed by the Board against the charter | ||||||
20 | school.
| ||||||
21 | (Source: P.A. 97-30, eff. 7-1-11; 98-427, eff. 8-16-13.)
| ||||||
22 | (40 ILCS 5/17-149) (from Ch. 108 1/2, par. 17-149)
| ||||||
23 | Sec. 17-149. Cancellation of pensions.
| ||||||
24 | (a) If any person receiving a disability retirement
pension | ||||||
25 | from the Fund is re-employed as a teacher by an Employer, the |
| |||||||
| |||||||
1 | pension
shall be cancelled on the date the re-employment | ||||||
2 | begins, or on the first day of
a payroll period for which | ||||||
3 | service credit was validated, whichever is earlier.
| ||||||
4 | (b) If any person receiving a service retirement pension | ||||||
5 | from the Fund
is re-employed as a teacher on a permanent or | ||||||
6 | annual basis by an Employer,
the pension shall be cancelled on | ||||||
7 | the date the re-employment begins, or on
the first day of a | ||||||
8 | payroll period for which service credit was validated,
| ||||||
9 | whichever is earlier. However, subject to the limitations and | ||||||
10 | requirements of subsection (c-5), the pension shall not be | ||||||
11 | cancelled
in the case of a service retirement pensioner who is
| ||||||
12 | re-employed on a temporary and non-annual basis or on an hourly | ||||||
13 | basis.
| ||||||
14 | (c) If the date of re-employment on a permanent or annual | ||||||
15 | basis
occurs within 5 school months after the date of previous | ||||||
16 | retirement, exclusive
of any vacation period, the member shall | ||||||
17 | be deemed to have been out of service
only temporarily and not | ||||||
18 | permanently retired. Such person shall be entitled
to pension | ||||||
19 | payments for the time he could have been employed as a teacher | ||||||
20 | and
received salary, but shall not be entitled to pension for | ||||||
21 | or during the summer
vacation prior to his return to service.
| ||||||
22 | When the member again retires on pension, the time of | ||||||
23 | service and the
money contributed by him during re-employment | ||||||
24 | shall be added to the time
and money previously credited. Such | ||||||
25 | person must acquire 3 consecutive years
of additional | ||||||
26 | contributing service before he may retire again on a pension
at |
| |||||||
| |||||||
1 | a rate and under conditions other than those in force or | ||||||
2 | attained at the
time of his previous retirement.
| ||||||
3 | (c-5) The service retirement pension shall not be cancelled
| ||||||
4 | in the case of a service retirement pensioner who is
| ||||||
5 | re-employed as a teacher on a temporary and non-annual basis or | ||||||
6 | on an hourly basis, so long as the person (1) does not work as a | ||||||
7 | teacher for compensation on more than 100 days in a school year | ||||||
8 | or and (2) does not accept gross compensation for the | ||||||
9 | re-employment in a school year in excess of (i) $30,000 or (ii) | ||||||
10 | in the case of a person who retires with at least 5 years of | ||||||
11 | service as a principal, an amount that is equal to the daily | ||||||
12 | rate normally paid to retired principals multiplied by 100. | ||||||
13 | These limitations apply only to school years that begin on or | ||||||
14 | after the effective date of this amendatory Act of the 97th | ||||||
15 | General Assembly. Such re-employment does not require | ||||||
16 | contributions, result in service credit, or constitute active | ||||||
17 | membership in the Fund. | ||||||
18 | To be eligible for such re-employment without cancellation | ||||||
19 | of pension, the pensioner must notify the Fund and the Board of | ||||||
20 | Education of his or her intention to accept re-employment under | ||||||
21 | this subsection (c-5) before beginning that re-employment (or | ||||||
22 | if the re-employment began before the effective date of this | ||||||
23 | amendatory Act, then within 30 days after that effective date). | ||||||
24 | An Employer The Board of Education must certify to the Fund | ||||||
25 | the temporary and non-annual or hourly status and the | ||||||
26 | compensation of each pensioner re-employed under this |
| |||||||
| |||||||
1 | subsection at least quarterly, and when the pensioner is | ||||||
2 | approaching the earnings limitation under this subsection. | ||||||
3 | If the pensioner works more than 100 days or accepts excess | ||||||
4 | gross compensation for such re-employment in any school year | ||||||
5 | that begins on or after the effective date of this amendatory | ||||||
6 | Act of the 97th General Assembly, the service retirement | ||||||
7 | pension shall thereupon be cancelled. | ||||||
8 | The Board of the Fund shall adopt rules for the | ||||||
9 | implementation and administration of this subsection. | ||||||
10 | (d) Notwithstanding Sections 1-103.1 and 17-157, the | ||||||
11 | changes to this
Section made by Public Act 90-32
apply without | ||||||
12 | regard to whether termination of service occurred before the
| ||||||
13 | effective date of that Act and apply
retroactively to August | ||||||
14 | 23, 1989.
| ||||||
15 | Notwithstanding Sections 1-103.1 and 17-157, the changes | ||||||
16 | to this Section
and Section 17-106 made by Public Act 92-599
| ||||||
17 | apply without regard to whether termination of service occurred | ||||||
18 | before the
effective date of that Act.
| ||||||
19 | Notwithstanding Sections 1-103.1 and 17-157, the changes | ||||||
20 | to this Section
made by this amendatory Act of the 97th General | ||||||
21 | Assembly
apply without regard to whether termination of service | ||||||
22 | occurred before the
effective date of this amendatory Act. | ||||||
23 | (Source: P.A. 97-912, eff. 8-8-12.)
| ||||||
24 | Section 90. The State Mandates Act is amended by adding | ||||||
25 | Section 8.39 as follows: |
| |||||||
| |||||||
1 | (30 ILCS 805/8.39 new) | ||||||
2 | Sec. 8.39. Exempt mandate. Notwithstanding Sections 6 and 8 | ||||||
3 | of this Act, no reimbursement by the State is required for the | ||||||
4 | implementation of any mandate created by this amendatory Act of | ||||||
5 | the 99th General Assembly.
| ||||||
6 | Section 99. Effective date. This Act takes effect upon | ||||||
7 | becoming law.
|